SBS Discovery says C More-TV2 deal would create “dominant” sports-rights player

Pan-Nordic basic-tier and pay-television broadcaster SBS Discovery has warned that the proposed takeover of Norwegian pay-television broadcaster C More by commercial and pay-television broadcaster TV2 would create a “dominant player in the pay-television market.”

Harald Stromme, the chief editor at SBS Discovery, said that the country’s competition authority should intervene in the proposed deal for TV2 to acquire C More from media company Bonnier due to the impact the takeover would have on the sports-rights market.

The two parties are in exclusive talks over the deal, according to the Kampanje news website.

“A merged TV2 and C More would be dominant in the pay-television market, and if they get an opportunity to create a monopoly for the [English] Premier League and the [Norwegian football top-tier] Tippeligaen, they get a negotiating power that in reality puts market mechanisms out of play,” Stromme said.

“With 70 per cent of the premium market and nearly half a million paying subscribers, TV2 will gain muscle and money that no one can cope with. It will be harmful to competition in the Norwegian television market.”

Stromme added. “Therefore we are going to ask the Competition Authority to treat this matter broadly and thoroughly, and to do what is necessary to maintain a free and functioning competition in both the pay-television market and the competition for sports rights.”